Asian Development Bank Approves $100 Million Loan for Sri Lanka’s Water Supply and Sanitation Reforms
The Asian Development Bank (ADB) has approved a $100 million policy-based loan to support reforms in Sri Lanka’s water supply and sanitation sector. This loan aims to enhance the country’s resilience to climate change and promote long-term sustainability.
Water Supply and Sanitation Reform Program
The program consists of two subprograms, each worth $100 million. The first subprogram will establish national policies and strategies, while the second will support the implementation of reform actions and guidelines.
Challenges and Solutions
Pedro Almeida, Senior Urban Development Specialist, stated that the program will address issues like fragmented water resources management and climate change impacts. It will also improve governance and sustainability, enabling private sector participation.
Sri Lanka faces challenges such as unbalanced water allocation, inadequate climate change planning, and impacts from unplanned land use. The program includes an $800,000 technical assistance grant to support the Ministry of Water Supply and the National Water Supply and Drainage Board in implementing reforms.
Funding Details
The ADB’s Technical Assistance Special Fund will cover $500,000, while the Water Innovation Trust Fund will finance $300,000. Established in 1966, ADB is owned by 68 members, with 49 from the region.
Doubts Revealed
Asian Development Bank -: The Asian Development Bank (ADB) is an organization that helps countries in Asia by giving them money and support to improve their economies and living conditions.
$100 Million Loan -: A loan of $100 million means that the ADB is giving Sri Lanka a large amount of money, which they will have to pay back later, to help improve their water supply and sanitation systems.
Sri Lanka -: Sri Lanka is a country located to the south of India. It is an island nation in the Indian Ocean.
Water Supply and Sanitation Reforms -: These are changes and improvements made to the systems that provide clean water and manage waste water to ensure people have safe drinking water and proper sanitation.
Resilience to Climate Change -: This means making sure that the water supply and sanitation systems can handle changes in the climate, like more rain or droughts, without breaking down.
Sustainability -: Sustainability means making sure that the water supply and sanitation systems can keep working well for a long time without causing harm to the environment.
Subprograms -: Subprograms are smaller parts of a bigger program. In this case, there are two parts, each with $100 million, focusing on different aspects of the water and sanitation reforms.
Technical Assistance Grant -: This is extra money given to help with specific technical tasks, like planning and training, to make sure the reforms are done correctly.
Ministry of Water Supply -: This is a part of the government in Sri Lanka that is responsible for making sure people have access to clean water.
National Water Supply and Drainage Board -: This is an organization in Sri Lanka that manages the systems for providing water and handling waste water.
